Arcimoto Inc. (FUV), a manufacturer and seller of Electric vehicles in the US, is experiencing a loss in premarket, hours after the company announced quarterly results for the second quarter. At the time of writing, the Arcimoto Stock stands at $12.10, a decrease of some 13.63%.
FUV Stock Q2 financial results
According to the quarterly results for the second quarter of the fiscal year 2021, which ended 30th June, the company manufactured 74 Electric vehicles, and besides, sold 1 pre-owned and30 new customer vehicles. Also, during the quarter, Arcimoto had a demonstration of a driverless fun utility vehicle, which is a first of its kind. That was done using remote control technology. According to the financial results for the quarter, the total revenue generated during the quarter stands at $717,000, which is an increase of 167% when compared with the revenue for an equivalent period of 2020. FUV stock faced a massive net loss of $8.2 million (about $0.23 per share) as compared to the equivalent time of the previous year when net loss stood at $3.7 million (or $0.15 per share). The company also said that it has total assets of $86.5 million while having a debt of $3.9 million.
Investigations against Acrimoto
On the 7th of August, the Barger Eagle & Squire P.C., a recognized law firm, started investigating the directors and officers of Arcimoto Inc. The investigation began after the filing of a class action complaint against Arcimoto. The complaint alleges that officers of Arcimoto made misleading statements about the fabrication in preorders of Fun Utility Vehicles Also, Arcimoto was accused that it failed to disclose to its customers that all of its vehicles were delivered to the customers were under a safety recall. Also, Arcimot o’s partnership with HULA was an undisclosed related property transaction.
FUV Stock Reported Partnership with Redivivus
In late July, FUV stock announced to have entered into a partnership with Redivivus, a lithium-ion battery recycling company. The partnership revolves around a battery recycling program. The agreement would result in Redivivus providing batter processing solutions to the Acrimoto manufacturing plants and service centers. The partnership aims to adopt more environmentally friendly ways to manufacture new technologies, as compared to the other battery recycling technologies. Redivivus Founder and Officer Erika Guerrero said on the occasion that the partnership between both of the companies would solidify the relationship between Acrimoto’s founders and the battery industry.
Pilot project with Tennessee clean fuels
In July, FUV stock announced to have entered into a pilot project with Tennessee Clean Fuels and Drive Electric Tennessee to test the Fun Utility Vehicles across the state. During that 30 day program, which had to begin on the 16th of August, all the major cities would test Acrimoto’s vehicles. Jonathan Overly, Executive Director for the East Tennessee Clean Fuels Coalition said on the occasion that he hopes that pilot will serve as a meaningful step in making electric transportation more efficient and accessible, while improving public health, equity, and access.
What lies ahead?
From statistics, it seems that Acrimotohas a bright future ahead. The revenue estimates suggest that during the next year, the company could generate revenue of $41.45 million, while the company EPS is expected to grow some 30.60% during next year. These statistics should compel potential investors to keenly look at the future performance of FUV stock.